WA Government Rolls Out Major Affordable Housing Initiatives Ahead of 2025-26 Budget
With the WA state budget just around the corner, the Cook Government has unveiled a suite of new initiatives aimed at tackling housing affordability and helping more Western Australians get a foot on the property ladder.
These initiatives represent a significant injection of funding into housing and will be delivered in partnership with Keystart—WA’s state-backed low-deposit home loan provider. The move is designed to support first home buyers, regional residents, and renters alike through new shared equity loans, modular home options, and a Build-to-Rent program.
$210 Million for Shared Equity Loans
A major component of the announcement is a $210 million investment in Keystart’s new shared equity scheme, set to launch in September 2025. The scheme will support the purchase of new or off-the-plan apartments, townhouses, and other multi-residential dwellings.
Under this initiative, the WA Government will co-purchase up to 35% of the value of a property—capped at $250,000—making home ownership more accessible to up to 1,000 eligible buyers. The aim is to reduce upfront costs and mortgage repayments, helping more people transition into ownership, particularly in a market where price growth has outpaced wages in recent years.
“Western Australia’s booming economy and growing population has put pressure on our housing market, which is why my government is laser-focused on ensuring every Western Australian has a home.”
— Premier Roger Cook
The scheme is part of a broader revitalisation of Keystart, which will soon become a government trading enterprise with an expanded mandate to address affordable housing challenges across the state.
New Modular Home Loans and Support for Regional Buyers
To further improve access to housing—particularly in regional areas where build costs and access to trades remain a challenge—the government also announced a low-deposit loan product for modular homes.
This new offering will make it easier and more cost-effective to deliver quality housing to regional communities and forms part of the broader push to diversify housing supply and accelerate delivery timelines.
For young people, graduates, and apprentices looking to enter the market, a tailored pilot program is also expected to launch later this year. The scheme will offer lower deposits, reduced repayments, and free access to financial coaching, supporting younger buyers as they move towards full ownership or refinance with a commercial lender.
Build-to-Rent Scheme to Launch by 2025
On the rental front, the state government revealed its upcoming Build to Rent Kickstart Fund, which will provide up to $75 million in no-interest or low-interest construction loans to help fast-track new residential developments.
This approach is designed to encourage investment in build-to-rent projects, which have been slower to materialise in WA due to construction costs and market constraints.
“We want to see Keystart helping more Western Australians right around the state achieve home ownership.”
— Treasurer Rita Saffioti
Industry Welcomes the Changes
The Real Estate Institute of Western Australia (REIWA) has welcomed the announcements, calling the initiatives a step in the right direction to address housing affordability and supply.
REIWA President Suzanne Brown said the modular loan product could prove particularly effective in getting more homes built sooner.
“Modular homes can be more affordable and built more quickly than a traditional build.
Keystart’s low deposit modular loan product will make this type of build more accessible for home buyers.”
Brown also noted that the shared equity scheme would be vital in helping buyers who are struggling to save a full deposit in WA’s current market conditions.
Looking at the longer-term rental picture, Brown said that while the Build to Rent Kickstart Fund was a promising start, more support is needed to make such developments financially viable.
“We know this investment won’t have an immediate impact on the market, but it is a move in the right direction and will help meet future demand as our population continues to grow.”
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